UK DATA: Sep PSNB-X Stg14.138bn vs Stg15.411bn in Sep 2010
–Sep PSNCR Stg19.883bn vs Stg12.133bn in Sep 2010
–Sep Current Budget-X -Stg11.929bn vs -Stg12.815bn in Sep 2010
————————————————————————
PSNB-X, which excludes financial sector interventions, fell to
Stg14.138 billion in Sep from Stg15.411 bn in the Sep last year earlier.
This was a little below the median for a Stg14.5 billion outturn.
Borrowing in Aug was also revised lower from an originally published
record Stg15.934 bn to Stg13.703 bn. Its difficult to argue the public
finances are in a healthy state, but these latest figures at least show
borrowing heading in the right direction. For the financial year to date
spending growth was just 2.9% compared with the same period a year
earlier, below the OBR’s Mar forecast of 3.6% for 10/11. Receipts growth
is lagging though and it is difficult to see tax receipts picking up
enough to ensure the OBR’s full year forecast is met.